Overcome Compensation Challenges with Incentive Compensation Management
Compensation difficulties are evident across insurance segments. Many health carriers are suffering due to compensation calculation systems based solely on paying commissions as a percentage of premiums. Many life insurance carriers struggle to motivate agents due to a method of paying a single commission for a single policy, missing opportunities for bonuses based on retention. These challenges are fundamentally caused by the inability of custom developed systems or antiquated technology to calculate commissions and bonuses based on a variety of selectable criteria.
This inflexibility in commission calculation not only fails to appropriately incentivize agents but also impacts the company’s bottom line through missed opportunities for increased business, agent retention and customer retention.
To leverage commissions to their advantage, carriers must have the flexibility to transition to different compensation structures while mitigating the risks of disrupting distribution channels. A solution that provides this capability in a single, proven technology package is Incentive Compensation Management (ICM).
With ICM, insurance organizations are equipped with strategic tools for aligning the channel and streamlining operations—including the flexibility, agility and analytics capabilities so critical for competing in today’s changing markets. By removing the obstacles that prevent carriers from succeeding, the solution empowers them to align agents with company goals, provide accurate payments and detailed commission statements, and convenient online communication that helps preserve agent loyalty.
Utilizing the services of the right technology solution gives insurance companies the fire power they need in their processes to execute on dramatic changes that contribute to cost reduction and revenue growth.